Mahindra to play pioneering role in making of a driverless tractor: Anand Mahindra

Speaking to the shareholders at the 70th annual general meeting, Mahindra said: “Tractors that operate autonomously could change the future of food productivity.” As the largest tractor producer, M&M intends to play a “pioneering role,” he added.Ketan Thakkar | ETAuto | Updated: August 10, 2016, 20:03 IST

Mahindra to play pioneering role in making of a driverless tractor: Anand MahindraMUMBAI: Chairman and Managing Director of Mahindra Group, Anand Mahindra has said the company is preparing "feverishly" to participate in disruptive future of mobility and as the largest tractor maker in the world, M&M would like to play a "pioneering role" in the making of a driverless tractor.

Speaking to the shareholders at the 70th annual general meeting, Mahindra said: "Tractors that operate autonomously could change the future of food productivity." As the largest tractor producer, M&M intends to play a "pioneering role," he added.

Stating that everyone is speculating whether "conventional mobility companies" will survive in a transformed world, he said: "I am not an astrologer and can't provide guarantees on that score, but I did want to emphasize to you all today, that if anyone is preparing feverishly for a disruptive future of mobility, it is Mahindra"

This is something that has not been emphasised enough globally. This is an area where productivity increases are sorely needed to feed the growing needs of the world.

"It is also an areas where paranoia about accidents and collision is virtually non -existent. This is an area where Mahindra, as the largest tractor producer in the world, intends to play a pioneering role," he said.

Mahindra referred to Elon Musk's future bet on driverless commercial vehicle and how Mahindra's approach is in the same direction.

"At our management board meetings, I have stressed in the recent past, that using the strength of our telematics skills in the large Mahindra Group, we must focus on developing autonomous, driverless commercial vehicles," said Mahindra.

The future of mobility, Mahindra says will be centred around three topics shared mobility, role of renewable energy power led vehicles and autonomous vehicles.

He assured the shareholders that the company's plans will be adjusted to "thrive under this new reality".

Mahindra reminded the shareholders that he had spoken of how the focus of young consumers today would be access as oppose to acquisition of cars and the "shared mobility", manufacturers would have to contend with.

The cars with value will be shared by all and the ones which are high-end, exclusive will be acquired, he reasoned.

Mahindra on its part has already kick-started the shared mobility solution under Smartshift for small commercial vehicles - which is an Uber or Ola for transporting goods and Tringgo platform to enable farmers to hire the tractor instead of acquiring it.

He said Mahindra already has a head start in the electric vehicle business with Mahindra Reva and will profitably participate in this new world - through shared mobility even as high performance electric cars sustain mindshare.

On the existing performance of the company, Mahindra said the company has kept its head above water in a very challenging circumstances and have taken many measures to lay the foundation for the future. He said, the future is just around the corner.

On the existing macro-economic environment, Mahindra said, there has been a sharp rise in public spending on infrastructure, consumer demand is rising and even the rain gods are smiling.

The company has already started seeing an uptick in many key indicators like consumer sales and retail loans. The sale of back hoes and construction equipment is increasing. The number of trucks being sold indicates that owners are buying trucks for fleet expansion and not just replacement.

He stressed that India is turning the corner even if things appear gridlocked in the rest of the world. "I see definite signs of an infrastructure led recovery, a recovery that is also being driven by increased consumption and a good monsoon," added Mahindra.

He credited the government's reform measures, highlighting how important initiatives like financial inclusion and large scale irrigation plans are quietly but successfully being implemented and their effects are beginning to kick in.

On the GST implementation, Mahindra said, "GST bill will unleash the caged tiger. India's huge common market - which for inexplicable reasons, we had kept divided. As the recovery strengthens, I am optimistic that private investment, which is lagging today, will make a comeback. In 1991, a new liberalized India was born. I believe 2016 will propel India to reach its true potential."